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Napster narrows losses, revises outlook

Q2 losses at Napster were cut directly in half, posting a loss of $9.8 million, or 23 cents per share, compared to $19.9 million, or 46 cents per share, in the year-ago period.

The outlook for Napster long term is still unsure, thought sales were up to $28.1 million, including a one-time gain of $1.9 million from prepaid cards.

"Our first quarter was highlighted by record revenue and the launch of our new Napster.com advertising-supported free music service, which is off to an encouraging start," said Chris Gorog, Napster's chairman and chief executive, in a statement.

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